Adann Sadiki and Others v Vee H Aviation Pty Ltd T/A Corporate Air [2023] FWC 2105
[2023] FWC 2105
The attached document replaces the document previously issued with the above code on 23
August 2023.
Incorrect numbering in Award extracts at [11] and [12] has been corrected.
Typographical errors at [11] and [38] have been corrected.
Associate to Commissioner Crawford
Dated 25 August 2023
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1
Fair Work Act 2009
s.739—Dispute resolution
Adann Sadiki and Others
v
Vee H Aviation Pty Ltd T/A Corporate Air
(C2022/7968)
COMMISSIONER CRAWFORD SYDNEY, 23 AUGUST 2023
Alleged dispute about any matters arising under the Air Pilots Award 2020 – jurisdictional
objection – whether dispute resolution procedure has been complied with – jurisdictional
objection dismissed
Background
[1] On 2 December 2022, a Form F10 Application for the Commission to deal with a dispute
in accordance with a dispute settlement procedure (Application) was filed by the Australian
Federation of Air Pilots (AFAP) on behalf of the following applicants:
• Adann Sadiki;
• Alana Biryukov;
• Anthony Obeyeskere;
• Brendan Flanders;
• Callum Larkman;
• Dan Stanford;
• Dante Schofield;
• David Lindorff;
• Ethan Barr;
• Jay Vanderhoek;
• Jonothon Sodoman;
[2023] FWC 2105
DECISION
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• Julian Sawyer;
• Mark Bennett;
• Mark Ridolfi;
• Matt Alcorn;
• Max Pettit;
• Nathan Korendijk;
• Nick Faulks;
• Paul Patman;
• Ray Zhang;
• Richard Craggs;
• Rob Beauchamp;
• Rob Woonton;
• Roland Jones;
• Ryan James;
• Ryan Matthews;
• Thomas Prell; and
• Tom Hawksworth.
(Applicants).
[2] The Applicants are current, or former, employees of Vee H Aviation Pty Ltd trading as
Corporate Air (Corporate Air).
[3] There is no dispute that the Air Pilots Award 2020 (Award) applies1 to Corporate Air
and its relevant employees and hence that the disputes procedure in clause 32 of the Award may
provide the Fair Work Commission (Commission) with jurisdiction to deal with a dispute about
the Award pursuant to s.739 of the Fair Work Act 2009 (FW Act).
[4] On 7 December 2022, Corporate Air filed a Form F1 Application which sought
dismissal of the Application on the ground that the Applicants have not followed the disputes
procedure in clause 32 of the Award (Dismissal Application).
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[5] A conference was held before Commissioner Spencer on 9 December 2022. The matter
did not resolve. Directions for the filing of material in relation to Corporate Air’s jurisdictional
objection were issued on 15 December and the jurisdictional objection was listed for hearing
on 25 January 2023. The hearing occurred on that date. Permission was granted to Corporate
Air to be legally represented by Mark Mackrell from Norton White at the hearing. The
Applicants were represented by Jared Marks from the AFAP.
[6] On 21 August 2023, the matter was allocated to me to determine. Having reviewed the
file and the transcript of the hearing on 25 January 2023, I was satisfied I was able to determine
the jurisdictional objection based on this material.
Evidence
Corporate Air
[7] Corporate Air relied on the following evidence in support of its jurisdictional objection:
• Statement of Rob Boyes (Corporate Air - Manager of Business Services) dated 20
December 2022. This was marked Exhibit 3. Mr Boyes was cross-examined on the
statement;
• Statement of Rob Boyes dated 16 January 2023. This statement has three attachments
containing email exchanges from 14 September 2022 to 8 December 2022. The
statement was marked Exhibit 4 and Mr Boyes was cross-examined on the statement;
and
• Statement of Mathew Goodall (Corporate Air - Senior Base Pilot) dated 16 January
2023. Mr Goodall also held an unofficial position as ‘pilot representative’ from about
April/May 2020 until around April 2022. The statement was marked Exhibit 6 and
Mr Goodall was cross-examined on the statement.
Applicants
[8] The Applicants relied on the following evidence in opposing the jurisdictional objection:
• Statement of Jared Marks (AFAP Senior Legal and Industrial Officer) dated 10
January 2023. The statement attached a bundle of correspondence between the parties
for the period of 18 August 2022 to 12 October 2022. The statement was marked
Exhibit 1. Mr Marks was not cross-examined;
• Statement of Roland Jones (Corporate Air - Pilot) dated 10 January 2023. The
statement was marked Exhibit 2. Mr Jones was not cross-examined; and
• Corporate Air - Salary Review document. This document was produced by Corporate
Air in response to a production order issued by Commissioner Spencer on 23 January
2023. Mr Boyes was cross-examined about this document. It was marked Exhibit 5.
Submissions
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Corporate Air
[9] Corporate Air relied on the following written submissions:
• Supplementary Response dated 9 December 2022;
• Submissions on Jurisdictional Objection dated 21 December 2022; and
• Submissions in Reply on Jurisdictional Objection dated 17 January 2023.
Mr Mackrell also provided oral closing submissions and oral reply submissions during the
hearing on 25 January 2023.
Applicants
[10] The Applicants relied on written Submissions on Jurisdiction dated 10 January 2023.
Mr Marks provided oral closing submissions during the hearing on 25 January 2023. He also
provided the Commission with two aide memoires: a document linking his arguments to pages
in the Court Book and a table summarising the disputes procedures in the Award, a Qantas
Agreement and a Jetstar Agreement. This latter document was provided in support of the
Applicants’ reliance on the judgment of Flick J in Qantas Airways Ltd v ALAEA (No 2).2
Relevant Provisions of the Award
[11] The Application indicates the dispute relates to clause 15 of the Award. Clause 15 is
lengthy, but important to the arguments associated with the jurisdictional objection, and states
in full:3
15. Hours of work, days off and rest periods
[Varied by PR718864, PR729304, PR738768, PR740726, PR762155]
15.1 Clause 15 does not apply to employees engaged in aerial application operations.
15.2 Hours of work, days off and rest periods will be determined in accordance with
the following provided that ordinary hours of work must not average more than
38 per week:
(a) the regulations approved by CASA from time to time;
(b) general or employer-specific exemptions to, or concessions under, the
regulations approved by CASA from time to time; or
(c) a Fatigue Risk Management System (FRMS) that has been developed by
the employer after consultation with the affected pilots and/or their
representatives and approved by CASA to apply to particular employers
and employees.
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15.3 Facilitative provision
Clauses 15.4 to 15.8 may be varied by agreement between the employer and a
majority of the employees in the workplace or part of it.
[15.4 varied by PR738768 ppc 07Mar22]
15.4 If an employee works in accordance with clause 15.2(a) the following provisions
will apply:
[15.4(a) varied by PR738768 ppc 07Mar22]
(a) An employee will not fly and the employer will not roster the employee
to fly in excess of l00 hours in 30 consecutive days.
[15.4(b) varied by PR738768 ppc 07Mar22]
(b) An employee will not fly and the employer will not roster the employee
to fly as a flight crew member in excess of 900 hours in 365 consecutive
days.
[15.4(c) varied by PR738768 ppc 07Mar22]
(c) An employee engaged in flight instruction will not be required to exceed
6 hours of instructional flight time in any tour of duty.
(d) The flight time in a tour of duty already commenced may be extended to
the maximum prescribed by the limitations in CAO 48, CAO 48E, or an
approved FRMS.
[15.4(e) varied by PR738768 ppc 07Mar22]
(e) Where an extension occurs the employee will receive a rest period on the
ground of not less than:
[15.4(e)(i) varied by PR738768 ppc 07Mar22]
(i) 9 consecutive hours which will include the hours between 2200
and 0600 local time, plus one additional hour for each 15 minutes
or part thereof by which the employee’s flight time exceeded 8
hours; or
(ii) 10 consecutive hours plus one additional hour for each 15
minutes or part thereof by which the flight time exceeded 8 hours.
15.5 One or two pilot operation
Clauses 15.6 to 15.8 apply to circumstances where an employer is operating a
one or 2 pilot operation in accordance with clause 15.2(a).
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15.6 Reserve time
[15.6(a) varied by PR738768 ppc 07Mar22]
(a) An employee on reserve or stand-by duty will be contactable within any
scheduled reserve duty period and will report for the appointed duty no
later than 2 hours after being contacted. The employer will specify
reserve duty period commencement and finishing times which will be as
agreed between the employer and the majority of employees but the
duration of such reserve duty periods will not exceed 11 hours.
(b) On any day a rostered tour of duty will not be immediately preceded by
or immediately followed by a period of reserve duty.
15.7 Periods of duty
[15.7 varied by PR738768 ppc 07Mar22]
The weekly duty period will normally consist of 5 days’ duty and 2 consecutive
days free from all duty. By mutual agreement between the employee and the
employer one day free of duty can be deferred. Where a day has been deferred a
substitute day will be granted and taken within 28 days unless further deferred
by mutual agreement in writing. For the purpose of rotating the roster one 2 day
period may be reduced to single days in each 28 day cycle.
15.8 Periods free of duty
[15.8(a) varied by PR738768 ppc 07Mar22]
(a) When an employee completes the maximum permissible flying or duty
hours prescribed in CAO 48 the employer will not require the employee
to perform any further duties whatsoever for the remainder of the
relevant period.
[15.8(b) varied by PR738768 ppc 07Mar22]
(b) The employer will ensure that an employee is rostered at least one
weekend off in each 28 day cycle, where practical.
[15.8(c) varied by PR738768 ppc 07Mar22]
(c) An employee on a temporary assignment away from home base may
elect to defer duty-free days. The employee will receive the deferred days
off immediately upon return to home base.
[15.8(d) varied by PR738768 ppc 07Mar22]
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(d) An employee will not be rostered for a tour of duty terminating after
2200 hours on the day preceding the rostered day or days free of duty
and will not be rostered to commence duty prior to 0600 hours on the
day following the day or days free of duty.
[15.8(e) varied by PR738768 ppc 07Mar22]
(e) Where a tour of duty, rostered to terminate before 2200 hours on the day
preceding the day or days rostered free of duty, is extended by delays so
that it terminates after 2200 hours, the employee will be regarded as
having worked on a day off. In those circumstances clause 15.8(f)
applies, except where an employee receives 6 or more calendar days free
of duty in any fortnight standing alone.
[15.8(f) varied by PR738768 ppc 07Mar22]
(f) An employee who is a pilot will not be required to work on a rostered duty-
free day. In the event of unforeseen circumstances an employer may
request a pilot to work on a rostered duty-free day. If a pilot agrees to work:
(i) a substitute duty-free day will be arranged within a month of the
day worked; and
[15.8(f)(ii) varied by PR718864, PR729304, PR740726, PR762155 ppc 01Jul23]
(ii) the pilot will receive an additional amount of $123.44 per day
worked.
[15.8(g) varied by PR738768 ppc 07Mar22]
(g) Where a tour of duty is cancelled and the employee has been notified of
the cancellation by 1900 hours on the preceding day, then the day of the
cancellation may be regarded as a day off.
[15.8(h) varied by PR738768 ppc 07Mar22]
(h) If a tour of duty scheduled to commence after 1200 hours is cancelled,
and the employee has been notified of the cancellation by 2000 hours on
the preceding day, then the day of the cancellation may be regarded as a
day off.
[15.8(i) varied by PR738768 ppc 07Mar22]
(i) When an employee on assignment away from home base is not required
for duty on any rostered duty day, the day will not be deemed to be a day
off.
(j) A tour of duty or period of reserve time at home will be preceded by a rest
period on the ground of at least:
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(i) 9 consecutive hours embracing the hours between 2200 and
0600 local time; or
(ii) 10 consecutive hours.
[15.8(k) varied by PR738768 ppc 07Mar22]
(k) When an aircraft is scheduled to arrive at a time that the employees
would be free of duty not later than 2200 hours local time and the aircraft
is delayed beyond that time, the 9 hour rest period prescribed may be
commenced up to 2300 hours local time, provided the succeeding tour
of duty does not exceed 6 hours.
[15.8(l) varied by PR738768 ppc 07Mar22]
(l) An employer will not roster an employee for a tour of duty in excess of
11 hours. Where a tour of duty has commenced it may be extended to 12
hours.
[15.8(m) varied by PR738768 ppc 07Mar22]
(m) Where an extension occurs the employee will receive a rest period on the
ground of not less than:
(i) 9 consecutive hours which will include the hours between 2200
and 0600 local time, plus one additional hour for each 15 minutes
or part thereof by which the tour of duty time exceeds 11 hours;
or
(ii) 10 consecutive hours plus one additional hour for each 15
minutes or part thereof by which the tour of duty time exceeded
11 hours.
[15.8(n) varied by PR738768 ppc 07Mar22]
(n) Where a tour of duty already commenced exceeds 12 hours or the flight
time exceeds 9 hours the employee will have, at the completion of the
tour of duty, a rest period of at least 24 consecutive hours.
[15.8(o) varied by PR738768 ppc 07Mar22]
(o) Where an employee has completed 2 consecutive tours of duty, the
aggregate of which exceeds 8 hours flight time or 11 hours duty time, and
the intervening rest period is less than:
(i) 12 consecutive hours embracing the hours between 2200 and
0600 local time; or
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(ii) 24 consecutive hours, if not embracing the hours between 2200
and 0600 local time,
the employee will have a rest period on the ground of at least 12
consecutive hours embracing the hours between 2200 and 0600 local time
or 24 consecutive hours, prior to commencing a further tour of duty.
[15.8(p) varied by PR738768 ppc 07Mar22]
(p) When an aircraft is scheduled to arrive at such a time that the employee
would be free of duty not later than 2200 hours local time and the aircraft
is delayed beyond that time, the 12 hour rest period may be commenced
up to 2300 hours provided that the succeeding tour of duty does not
exceed 6 hours.
[15.8(q) varied by PR738768 ppc 07Mar22]
(q) An employee will not commence a flight and an employer will not roster
the employee for a flight unless during the 7 day period terminating
coincident with the termination of the flight the pilot has been relieved
from all duty associated with the employment for at least one continuous
period embracing the hours between 2200 and 0600 on 2 consecutive
nights.
[15.8(r) varied by PR738768 ppc 07Mar22]
(r) The employer will not roster an employee to fly when completion of the
flight will result in the employee exceeding 90 hours of duty of any
nature associated with the employment in each fortnight standing alone.
For the purpose of clause 15.8, duties associated with an employee’s
employment include reserve time at the airport, tour of duty, deadhead
transportation, administrative duties and all forms of ground training.
The operator will designate the day on which the first of the fortnightly
periods will start.
[12] The disputes procedure in clause 32 of the Award is of course crucial to the jurisdictional
objection, it states:
32. Dispute resolution
[Varied by PR763243]
32.1 Clause 32 sets out the procedures to be followed if a dispute arises about a matter
under this award or in relation to the NES.
32.2 The parties to the dispute must first try to resolve the dispute at the workplace
through discussion between the employee or employees concerned and the
relevant supervisor.
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32.3 If the dispute is not resolved through discussion as mentioned in clause 32.2, the
parties to the dispute must then try to resolve it in a timely manner at the
workplace through discussion between the employee or employees concerned
and more senior levels of management, as appropriate.
32.4 If the dispute is unable to be resolved at the workplace and all appropriate steps
have been taken under clauses 32.2 and 32.3, a party to the dispute may refer it
to the Fair Work Commission.
32.5 The parties may agree on the process to be followed by the Fair Work
Commission in dealing with the dispute, including mediation, conciliation and
consent arbitration.
32.6 If the dispute remains unresolved, the Fair Work Commission may use any
method of dispute resolution that it is permitted by the Act to use and that it
considers appropriate for resolving the dispute.
32.7 A party to the dispute may appoint a person, organisation or association to
support and/or represent them in any discussion or process under clause 32.
32.8 While procedures are being followed under clause 32 in relation to a dispute:
(a) work must continue in accordance with this award and the Act; and
(b) an employee must not unreasonably fail to comply with any direction
given by the employer about performing work, whether at the same or
another workplace, that is safe and appropriate for the employee to
perform.
32.9 Clause 32.8 is subject to any applicable work health and safety legislation.
[Note 1 varied by PR763243 ppc 01Aug23]
NOTE 1: In addition to clause 32, a dispute resolution procedure for disputes regarding
the NES entitlement to request flexible working arrangements is contained in
section 65B of the Act.
[Note 2 varied by PR763243 ppc 01Aug23]
NOTE 2: In addition to clause 32, a dispute resolution procedure for disputes regarding
the NES entitlement to request an extension to unpaid parental leave is contained in
section 76B of the Act.
Approach to construction of awards
[13] In WorkPac v Skene, the Full Court of the Federal Court stated the following in relation
to the interpretation of enterprise agreements:
“The starting point for interpretation of an enterprise agreement is the ordinary meaning
of the words, read as a whole and in context. The interpretation “… turns on the language
of the particular agreement, understood in the light of its industrial context and purpose
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…”. The words are not to be interpreted in a vacuum divorced from industrial realities;
rather, industrial agreements are made for various industries in the light of the customs
and working conditions of each, and they are frequently couched in terms intelligible to
the parties but without the careful attention to form and draftsmanship that one expects
to find in an Act of Parliament. To similar effect, it has been said that the framers of
such documents were likely of a “practical bent of mind” and may well have been more
concerned with expressing an intention in a way likely to be understood in the relevant
industry rather than with legal niceties and jargon, so that a purposive approach to
interpretation is appropriate and a narrow or pedantic approach is misplaced.”4 (citations
omitted)
[14] These principles were cited with approval by Rangiah J with regard to awards in
Swissport Australia Pty Ltd v Australian Municipal Administrative Clerical and Services Union
(No 3).5
[15] Deputy President Millhouse provided the following summary of legal principles specific
to the Commission’s jurisdiction under s.739 of the FW Act in AMWU v Transdev Melbourne
Pty Ltd:6
“[20] The Commission may deal with a dispute if the dispute settlement procedure
“requires or allows” it to do so.7 The terms of the dispute settlement procedure must be
considered, understood in light of its industrial context and purpose.8 The scope of the
dispute settlement procedure should not be narrowly construed as “to do so would be
contrary to the notion that certified agreements are intended to facilitate the harmonious
working relationship of the parties during the operation of the agreement.9
[21] In the assessment of the Commission’s power, there is a need to characterise the
dispute and determine whether that characterisation has a nexus or sufficient nexus to
the provisions of the Agreement.10 In doing so, the Commission is not confined to the
terms of the dispute application. The entire factual background is relevant and may be
ascertained from the submissions advanced by the parties on the question of
jurisdiction.11 Further, an industrial dispute is not necessarily fixed and definite, and it
may evolve during proceedings in the Commission.12
[22] In dealing with a dispute under s 739 of the Act, the Commission must not
exercise any powers limited by the Agreement’s dispute settlement term.13 Further, the
Commission must not make a decision that is inconsistent with either the Act or the
Agreement.”14
Consideration
[16] To determine whether Corporate Air’s jurisdictional objection that the Applicants have
not complied with the dispute resolution procedure in the Award should be upheld, it is
necessary to assess the history of the dispute.
Initial meetings and the breakdown document
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[17] Mr Boyes gave evidence that he was approached in around May 2021 by the Head of
Flight Operations who requested a meeting to discuss ‘how the pilot salaries had been
calculated’.15 Mr Boyes indicated the Head of Flight Operations referred to pilots being paid
less than the minimum Award rates via an annual salary.16
[18] Mr Boyes indicated a ‘follow up’ meeting was held on 4 June 2021 and that he showed
the Head of Flight Operations a spreadsheet highlighting the allowances payable under the
Award to establish that the annual salary rate was sufficient. Mr Boyes indicated the Head of
Flight Operations was satisfied with the response.17
[19] Mr Boyes then stated: ‘the same issue was raised again in December 2021 when Matt
Goodall was appointed as the pilot representative’.18 Mr Boyes identified the issue as ‘how the
annual salaries compared to the Award payments.’19 Mr Boyes stated Mr Goodall followed up
about training captain payments shortly after.20
[20] Mr Goodall provided evidence that a meeting was held on 24 December 2021 between
himself, Mr Boyes and Alf Jonas (Head of Flying Operations). It appears Mr Jonas is the
unnamed Head of Flight Operations identified in Mr Boyes’ statement dated 20 December
2022. Mr Goodall described the purpose of the meeting in various ways, including that ‘he
wanted to get a better understanding of how the Award entitlements were being paid to the pilot
group as part of their salary’.21 Mr Goodall emphasised that clause 15 of the Award was not
discussed or referred to at the meeting.22 Mr Goodall referred to concerns about pilots being on
duty for more than five hours without a 30-minute break.23
[21] Mr Jones gave evidence that he was aware Mr Goodall met with Mr Boyes and Mr Jonas
in December 2021. Mr Jones stated this meeting occurred after a group of pilots asked their
unofficial representative, Mr Goodall, to ‘speak with the management team about various
Award conditions that were not being provided’.24 Mr Jones, like Mr Goodall, referred to a 30-
minute break not being provided after five hours of work.25
[22] Mr Jones stated Mr Goodall subsequently told him that members of the management
team had indicated the pilots’ entitlements were not separately identifiable because pilots were
being compensated through an aggregated salary and that Mr Goodall had requested a
breakdown.26 Mr Jones stated the request was initially refused but ultimately a breakdown was
provided in about January/February 2022.27
[23] Mr Boyes, Mr Goodall and Mr Jones all confirmed that Mr Boyes provided the salary
breakdown document to Mr Goodall in January 2022, after Mr Goodall signed a non-disclosure
agreement.
[24] In terms of the status of the dispute after the breakdown document was provided by Mr
Boyes to Mr Goodall, the evidence is:
• Mr Goodall indicated he was busy with a new Senior Base Pilot role in January 2022
and had little time to look at the breakdown document. He advised the group in April
2022 that he could no longer be their unofficial representative because of his senior
role. It was Mr Goodall’s understanding that ‘new representatives would continue the
discussions about payment for meal breaks as part of the annual salaries.’28 In cross-
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examination, Mr Goodall stated the issues he had been agitating had effectively been
handed over to the new representatives and were not resolved, ‘the discussions were
still ongoing.’29 It appears Mr Goodall may not have formally advised Corporate Air
that he had ceased in the representative role until September 2022;30
• Mr Boyes stated he had never been advised after the breakdown document was
provided to Mr Goodall that the pilot group did not agree with the document.31 He
understood from the silence that the issue was resolved;32 and
• Mr Jones stated the pilot group did not agree the breakdown document demonstrated
the annual salary properly compensated all pilots for, among other things, meal breaks,
allowances, and training and checking relating payments.33 Mr Jones was not cross-
examined on this evidence.
[25] I consider this evidence establishes Mr Goodall met with Mr Boyes and Mr Jonas in
December 2021 to discuss concerns from the pilots that they were not receiving all their
entitlements under the Award. The position of Corporate Air was that all Award conditions are
satisfied by the payment of the annual salary and a breakdown of the salary components was
subsequently provided to Mr Goodall in around January 2022, to try and substantiate Corporate
Air’s position.
[26] I cannot accept on the evidence that the dispute was resolved from the perspective of
the pilots following the provision of the breakdown document, given Mr Goodall and Mr Jones
both clearly state that it was not. The silence in relation to the dispute appears to be attributable
to Mr Goodall being busy and ultimately ceasing in his unofficial representative role, rather
than an indication the dispute was resolved.
[27] Mr Jones gave uncontested evidence that AFAP members employed by Corporate Air
sought advice from the AFAP at some point in early 2022 and then again in July 2022, seeking
‘advice on how to enforce their rights under the Award, as it was apparent Corporate Air was
not complying with many of its terms.’34 This led to the correspondence between the AFAP and
Corporate Air from August 2022.
Correspondence
[28] The correspondence between the parties from 18 August 2022 speaks for itself. It is
summarised below.
AFAP letter 18 August 2022
[29] Mr Marks wrote to the CEO of Corporate Air, Andrew Major, on 18 August 2022 raising
various concerns about whether Corporate Air was complying with its obligations under the
Award. The concerns included: duty periods, the payment of an allowance for working on a
duty-free day, hours of work, rostering arrangements and meal breaks. The letter identified that
Corporate Air cannot ‘contract out’ of Award entitlements.
[30] I consider this last point about contracting out of Award entitlements is responsive to
the breakdown document and Corporate Air’s argument that the salary satisfied all Award
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entitlements. This is an indication the dispute was a continuation of the issues being agitated by
Mr Goodall.
Corporate Air letter 30 August 2022
[31] Mr Boyes responded to Mr Marks’ letter on behalf of Corporate Air on 30 August 2022.
The second paragraph reads:
“We note that the matters canvassed in your correspondence were previously raised with
the three Senior Manager (sic) of the Flight Operations Team over 8 months ago. We
discussed the matters in detail with all three who had been requested to raise the issues
with Management. It was our understanding that the employees accepted Corporate
Air’s position and the matter was closed. In any event, we are happy to provide the
following information in light of the concerns raised in your correspondence.”
[32] The letter goes on to refer to clause 1.4 Remuneration in ‘offers of employment’ and
deals with concerns about hours of work and rostering.
[33] The letter also raised, seemingly for the first time, that Corporate Air is operating ‘under
CASA issued variations to CAO 48.1’. This issue is significant to the operation of clause 15 of
the Award because it can trigger the operation of clause 15.2(b), which can in turn exclude the
operation of other entitlements in clause 15.
[34] The letter concludes ‘we can confirm that Corporate Air complies with all relevant
requirements of the Award and those of CAO 48.1, including its Appendices and the
Employer’s CASA issued variations to CAO 48.1, as varied from time to time’.
AFAP letter 13 September 2022
[35] Mr Marks responded to Mr Boyes on 13 September 2022. The letter sought further
clarification regarding ‘variations to CAO 48.1’ and stated: ‘at this stage our principal concern
is whether CA falls under 15.2(a) or (b) of the Award’. The letter raises concerns about
compliance with clause 16 of the Award and reiterated that Corporate Air cannot contract out
of the Award terms. The letter indicated the AFAP was considering referring the dispute to the
Commission.
Corporate Air letter 30 September 2022
[36] Mr Boyes responded to Mr Marks on 30 September 2022. This letter primarily
addressed Corporate Air’s argument that it operates under clause 15.2(b) of the Award, rather
than clause 15.2(a). The letter accepted Corporate Air must comply with clause 16 of the Award
and stated that it does so. The letter addressed the contractual points raised by the AFAP. The
letter ended by questioning whether the disputes procedure in the Award had been complied
with such as to enable the dispute to be referred to the Commission.
AFAP letter 5 October 2022
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[37] Mr Marks responded to Mr Boyes on 5 October 2022. This letter focused on the issue
of whether clause 15.2(b) is applicable to Corporate Air. In relation to compliance with the
dispute resolution procedure, the letter referred to Mr Boyes’ letter dated 30 August 2022 and
the fact that it referred to the issues being ‘previously raised over eight months ago’.
Norton White letter 12 October 2022
[38] Norton White wrote to the AFAP on behalf of Corporate Air on 12 October 2022. The
letter focused on the issue of whether clause 15.2(b) applied to Corporate Air and referred to
potential broader impacts on the industry arising from the AFAP’s position.
Form F10
[39] The Form F10 Application was filed on 2 December 2022. The Application states the
‘parties are in dispute about whether the respondent’s operation falls under clause 15.2(a) or
clause 15.2(b) of the Award’. I accept that is somewhat consistent with Corporate Air’s position
that the dispute had moved away from the issues initially raised by Mr Goodall in December
2021.
[40] However, it is also significant that the Application states: ‘The respondent’s position is
that its operation falls under clause 15.2(b), which has the effect of displacing clauses 15.4 –
15.8 of the Award’ (my emphasis). This point is relevant because it links the dispute about the
operation of clause 15.2(b) with the earlier discussions concerning Award compliance and
whether the annual salary was sufficient to compensate for the Award conditions. That follows
because the entitlements due under the Award, which would need to be identified to properly
assess the salary rate, are impacted upon by the operation of clause 15.2(b). For example, the
effect of clause 15.5 appears to be that the allowance of $123.44 per day in clause 15.8(f)(ii)
only applies where the employer is operating under clause 15.2(a), as opposed to clause 15.2(b).
Whether or not that entitlement is due will obviously impact the assessment of an appropriate
salary rate.
Has the disputes procedure been complied with by the Applicants?
[41] As the authorities identified above confirm:
• In the assessment of the Commission’s power, there is a need to characterise the
dispute and determine whether that characterisation has a nexus or sufficient nexus to
the provisions of the Agreement,35or in this case, the Award;
• In doing so, the Commission is not confined to the terms of the dispute application.
The entire factual background is relevant and may be ascertained from the submissions
advanced by the parties on the question of jurisdiction;36 and
• An industrial dispute is not necessarily fixed and definite, and it may evolve during
proceedings in the Commission.37
[42] I am satisfied, at least in relation to Mr Jones, which is sufficient in itself to trigger
jurisdiction for the purposes of clause 32 of the Award, that he has been in dispute with
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Corporate Air since around December 2021 concerning whether Corporate Air is complying
with all its obligations under the Award. Specifically, Mr Jones has been querying whether the
annual salary he is being paid is sufficient to compensate him for all the relevant entitlements
under the Award.
[43] Mr Goodall initially raised the dispute in a meeting with Mr Boyes and Mr Jonas on 24
December 2021. Mr Goodall was representing Mr Jones and other pilots at this meeting. The
dispute was not resolved at the meeting. Mr Boyes provided the breakdown document to Mr
Goodall in January 2022 after Mr Goodall agreed to sign a non-disclosure agreement. Mr
Goodall and Mr Jones gave clear and uncontradicted evidence that this document did not
resolve the dispute.
[44] As stated in Mr Jones’ uncontested evidence, Mr Jones and other members then sought
the assistance of the AFAP. This led to the matter being escalated by the AFAP, on behalf of
Mr Jones and other AFAP members, to the CEO, Mr Major. Various correspondence followed.
The dispute has still not been resolved.
[45] Although the attention of the parties shifted significantly towards whether Corporate
Air is covered by clause 15.2(b) of the Award from 30 August 2022 onwards, this occurred in
response to a new argument raised by Corporate Air in its correspondence of that date. As the
Application points out, if Corporate Air is correct about the application of clause 15.2(b), many
of the issues raised by Mr Jones and other pilots about compliance with clauses 15.4 to 15.8 of
the Award may fall away. This is directly relevant to the assessment of whether the annual
salary satisfies the Award entitlements, which was clearly being raised by Mr Goodall in
December 2021.
[46] I am satisfied the shift in focus towards clause 15.2(b) of the Award constitutes an
evolution of the dispute, triggered by a new argument raised by Corporate Air, as opposed to
an entirely new dispute that would require recommencement of the dispute resolution
procedure. This is exactly how Mr Boyes understood the situation when he drafted
correspondence dated 30 August 2022 which referred to the matters agitated by the AFAP being
‘previously raised around eight months ago’. I consider Mr Boyes was right, the dispute about
whether Corporate Air is meeting its obligations under the Award via the payment of the annual
salary was raised squarely by Mr Goodall on 24 December 2021 and has never been resolved.
It is not surprising that the operation of clause 15.2(b) was not discussed specifically at the
meeting on 24 December 2021, given Corporate Air did not raise it as part of their argument
for the purposes of the dispute until 30 August 2022.
[47] On the basis that I characterise the dispute as being about whether the Award conditions
are adequately satisfied by the annual salary, I am satisfied the Applicants have complied with
clause 32.2 and 32.3 of the Award. The specific dispute about the operation of clause 15.2(b)
is a part of this broader dispute. I do not consider the Applicants potentially seeking to have this
narrower issue resolved first (if that is what they seek), means steps taken under the dispute
resolution procedure as part of the broader dispute cannot be relied upon. The authorities
confirm a dispute can evolve, even during Commission proceedings.
[48] I find clause 32.2 of the Award was satisfied by Mr Goodall’s meeting with Mr Boyes
and Mr Jonas on 24 December 2021. The dispute about compliance with Award obligations
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was not resolved at this meeting, it was continuing when Mr Boyes provided the salary
breakdown document in January 2022. It has still not been resolved.
[49] I consider my conclusion that the Applicants have complied with clause 32.2 is
reinforced by the following statement from Flick J in Qantas Airways Ltd v ALAEA (No 2):38
“Notwithstanding a more generally expressed conclusion that the relevant clauses are to
be construed with some degree of informality and flexibility, the submission advanced
on behalf of Qantas and Jetstar that there needed to be some minimum content to these
provisions is accepted. That minimum content, it is concluded, is that there needed to be
an occasion on which those participating in the meetings had to know that there were
opposing views being expressed and that those opposing views needed to be resolved.
It is not necessary, with respect, for those participating in the meeting or discussion to
know that they were participating in a meeting which formed part of a dispute resolution
procedure. To fall within cl 6 of the Qantas Agreement or cl 20 of the Jetstar Agreement,
there needed to be the raising by an employee or a group of employees of an “opposing
view” to that of their employer and that view had to be raised at a meeting (however
flexibly that term is to be construed) at which it was known or could reasonably be
inferred that each of the “opposing” sides knew that there was a dispute in need of
resolution.”
[50] The subsequent production of the salary breakdown document demonstrates opposing
views were raised during the meeting in December 2021. The document was an unsuccessful
subsequent attempt to resolve the opposing views.
[51] I find clause 32.3 of the Award was satisfied by the actions taken by the AFAP since 18
August 2022. I am satisfied the AFAP attempted to resolve the dispute with more senior levels
of management, namely the CEO, from 18 August 2022. It is clear from Mr Jones’ uncontested
evidence that the AFAP has been at least representing Mr Jones throughout this period.
[52] In terms of the forum for the discussions, it is established that:
“Discussion” is a word which has different meanings depending on the context, and may
in different contexts mean a face-to-face discussion, a telephone discussion or a written
discussion.39
[53] That is unsurprising. It would be an odd outcome if detailed and considered written
correspondence was not taken to be a ‘discussion’ for the purposes of the dispute resolution
procedure, but a verbal discussion which lacked the same level of detail and consideration is
taken to be a ‘discussion’. It is logical that the substance of the ‘discussion’ is more important
than the format.
[54] Given it is clear a ‘discussion’ can occur in writing, if I am wrong about my assessment
of the meeting in December 2021, I would still find that the exchange of correspondence
commencing by the AFAP’s letter dated 18 August 2022 satisfies clause 32.2 and 32.3 of the
Award. Although the initial letter was addressed to Corporate Air’s CEO, it was responded to
by Mr Boyes, who can be comfortably classified as the ‘relevant supervisor’ for the purposes
of these clauses. The dispute clearly progressed to more senior levels of management as the
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correspondence continued, to the point where external lawyers were engaged to write Corporate
Air’s letter dated 12 October 2022.
[55] I consider my conclusion that the dispute resolution procedure has been satisfied by the
Applicants is reinforced by the objects in s.3 of the FW Act. The objects include ‘providing
accessible and effective procedures to resolve grievances and disputes.’ There is also a statutory
direction in s.577(1)(b) of the FW Act for the Commission to perform its functions and exercise
its powers in a manner that is ‘quick, informal and avoids unnecessary technicalities’. These
provisions are not consistent with an overly technical approach to the application of the dispute
resolution procedure in the Award, when it is clear on the evidence that significant steps have
been taken to try and resolve the dispute at the workplace level prior to seeking assistance from
the Commission.
[56] On a more practical level, if Corporate Air wants to have further discussions directly
with employees about the dispute, there is no impediment whatsoever to that occurring. The
Applicants seeking assistance from the Commission does not prevent this.
Conclusion
[57] For these reasons, I dismiss the jurisdictional objection raised by Corporate Air in the
Dismissal Application.
[58] The Form F10 Application will be listed for conference in accordance with the
Commission’s normal processes.
COMMISSIONER
Appearances:
Jared Marks for the Applicants
Mark Mackrell for the Respondent
Hearing details:
2023.
Brisbane
25 January.
Printed by authority of the Commonwealth Government Printer
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<PR765455>
1 In accordance with s.47 of the FW Act.
2 [2020] FCA 951.
3 I note the Award has been varied since the Application was filed. However, none of the changes appear to impact the
jurisdictional objection.
4 [2018] FCAFC 131 at [197].
5 [2019] FCA 37 at [52].
6 [2021] FWC 978.
7 Section 739(1) of the Act; see also s 595 of the Act.
8 Construction, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia v Thiess
Pty Ltd [2011] FCA 1020 at [42], [44] and [47].
9 Shop, Distributive and Allied Employees Association v Big W Discount Department Stores, PR924554 at [23].
10 Seven Network v CPSU (2003) 122 IR 98 at [32]; See also Australian Nursing and Midwifery Federation v Alfred Health
[2015] FWCFB 3045 at [38] and Construction, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied
Services Union of Australia v Thiess Pty Ltd [2011] FCA 1020 at [47].
11 Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union v Holden Limited, PR940366 at [47].
12 United Firefighters’ Union of Australia v Metropolitan Fire and Emergency Services Board, PR973884 at [14]-[15]; R v
Bain; Ex parte Cadbury Schweppes Australia Ltd (1984) 159 CLR 163 at p.168; Re PKIU; Ex parte Vista Paper
Products Pty Ltd [1993] HCA 81; (1993) 113 ALR 421 at [45].
13 Section 739(3) of the Act.
14 Section 739(5) of the Act.
15 Mr Boyes statement dated 20 December 2022 - Exhibit 3 – at [3].
16 Mr Boyes statement dated 20 December 2022 - Exhibit 3 – at [3].
17 Mr Boyes statement dated 20 December 2022 - Exhibit 3 – at [4].
18 Mr Boyes statement dated 20 December 2022 - Exhibit 3 – at [5].
19 Mr Boyes statement dated 20 December 2022 - Exhibit 3 – at [3].
20 Mr Boyes statement dated 20 December 2022 - Exhibit 3 – at [6] – I assume the date should be January 2022.
21 Mr Goodall’s statement dated 16 January 2023 – Exhibit 6 – at [4].
22 Mr Goodall’s statement dated 16 January 2023 – Exhibit 6 – at [7].
23 Mr Goodall’s statement dated 16 January 2023 – Exhibit 6 – at [4].
24 Mr Jones’ statement dated 10 January 2023 – Exhibit 2 – at [6] and [7].
25 Mr Jones’ statement dated 10 January 2023 – Exhibit 2 – at [7].
26 Mr Jones’ statement dated 10 January 2023 – Exhibit 2 – at [8].
27 Mr Jones’ statement dated 10 January 2023 – Exhibit 2 – at [8].
28 Mr Jones’ statement dated 10 January 2023 – Exhibit 2 – at [9].
29 Transcript at PN511 and PN512.
30 Attachment RB 1 to Mr Boyes’ further statement dated 16 January 2023 – Exhibit 3.
31 Further statement of Mr Boyes dated 16 January 2023 – Exhibit 4 – at [2](c).
32 Transcript at PN214.
33 Mr Jones’ statement dated 10 January 2023 – Exhibit 2 – at [9].
34 Mr Jones’ statement dated 10 January 2023 – Exhibit 2 – at [10].
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35 Seven Network v CPSU (2003) 122 IR 98 at [32]; See also Australian Nursing and Midwifery Federation v Alfred Health
[2015] FWCFB 3045 at [38] and Construction, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied
Services Union of Australia v Thiess Pty Ltd [2011] FCA 1020 at [47].
36 Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union v Holden Limited, PR940366 at [47].
37 United Firefighters’ Union of Australia v Metropolitan Fire and Emergency Services Board, PR973884 at [14]-[15]; R v
Bain; Ex parte Cadbury Schweppes Australia Ltd (1984) 159 CLR 163 at p.168; Re PKIU; Ex parte Vista Paper
Products Pty Ltd [1993] HCA 81; (1993) 113 ALR 421 at [45].
38 [2020] FCA 951 at [70].
39 DP World (Fremantle) Ltd v CFMMEU [2019] FWCFB 3965 at [29].
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Official source: https://www.fwc.gov.au/documents/decisionssigned/pdf/2023fwc2105.pdf